SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : eBay - Superb Internet Business Model
EBAY 82.49-0.3%Nov 26 3:59 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: cdbud who wrote (4277)7/26/1999 8:54:00 PM
From: Jeff Dryer  Read Replies (3) of 7772
 
I see lots of parallels (similarities) between online stock trading and online auctions.

Stock trading is completely virtual ====> there is no merchandise to mail back and forth between participants. So, isn't the stock market a more efficient application of matching buyers and sellers than online auctions?

With that said, why is eBay valued at $14 billion and E*Trade valued at $7 billion?

E*Trade has more than 3 times as much revenue and has been aggressively investing in its business during the last year with the hope of making profits later. In many respects, it seems to me that E*Trade is ahead of eBay in terms of investing in its business for the future.

I'm not suggesting E*Trade or eBay is a buy, sell, or hold. I'm interested in the relative valuations of these two companies who are both leaders in their respective spaces (two companies that may have a lot in common).
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext